FLOOD INSURANCE CAN NEVER BE LEGALLY WAIVED BY A LENDER

The Flood Insurance Notice is required by  the Flood Disaster Protection Act. The notice must be in writing and notifies Borrower the real estate to be pledged as collateral is located within a Special Flood Hazard Area (SFHA) and Flood insurance in required. 

This notice is required when the loan is: 

• Secured by real estate
• Construction or development purpose
• Secured by a mobile home (even if not taking real estate), OR
• Secured by an Assignment of Note and Mortgage and the real estate attached to the mortgage.
• Located in a SFHA

This documentation is included with the loan package provided by Loan Doc Prep, but a Flood Insurance Notice may also be downloaded here. 

If loan documents have been signed using IMM eSign or eSign-Web, the document is automatically transferred to the loan file. If all documents are wet signed, send to loan servicing in the designated bag.